Beruflich Dokumente
Kultur Dokumente
By
Saibalinivarsa Samantasinhar Roll # IT200475168
Prasanta Kumar Sahu Roll # CSE200410170
Upasana Dalai Roll #
CSE200465075
Shakti Prasad Panigrahy Roll #
IT200410359
April - 2008
2
ABSTRCT
Now a day’s fuel is the one of the main source of energy which act as basic need of
transportation so, its need never perish and it’s demand is always there for mankind
and it never diminish. now a day’s the conventional fuel i.e. petrol and diesel come to
exhaust as it is nonrenewable source of energy and it take lot of time for it’s
production as in petroleum form in the mines ,so day by day fuel cost hikes ,to reduce
that cost and present day demand bio-diesel is one of the best alternative. Present day
no such big industry comes forward to produce bio-diesel because it is very costlier
when it produced in small amount. And cost can be maintainable when it produced in
large amount and it even more beneficial in future.
Bio-diesel—a fuel composed of mono-alkyl esters of long chain fatty acids derived
from vegetable oils or animal fats, designated B100, and meeting the requirements of
ASTM (American Society for Testing& Materials). Bio-diesel is biodegradable and
non-toxic, and typically produces about 60% less net-lifecycle carbon dioxide
emissions, as it is itself produced from atmospheric carbon dioxide via photosynthesis
in plants. Its emissions of smog forming hydrocarbon are 65% less, although the
Nitrogen Oxide emissions are about 10% greater than those from petroleum-based
diesel. Net-lifetime carbon dioxide emissions can actually differ widely between fuels
depending upon production methods of the source vegetable oils and processing
methods employed in their creation.
i
ACKNOWLEDGEMENT
Completing a job has never been an easy go for a single person, so we are doing this
project in a group often it is the result of invaluable contributions from individuals in
the surrounding in a direct or indirect manner.
I am deeply grateful to my advisor Mr. Jagannath Mohanty and Dr. Pavan Kumar
for having been a constant source of encouragement for our entrepreneurship project
Report on “Production of Bio-Diesel”.
Finally we thank Prof.Sangram Mudali, for his continued drive for better quality in
everything that happens at NIST. This report is a small contribution towards the
greater goal.
Sailibalinivarsa Samantasinhar
Upasana Dalai
ii
TABLE OF CONTENTS
ABSTRCT ......................................................................................................................i
ACKNOWLEDGEMENT.............................................................................................ii
TABLE OF CONTENTS..............................................................................................iii
LIST OF FIGURES........................................................................................................v
1. GENERAL INFORMATION...................................................................................vi
1.1 NAME OF THE ENTREPRENEUR .................................................................vi
1.2 PROPOSED PROJECT......................................................................................vi
1.3 MAJOR PRODUCE............................................................................................vi
1.4 PROPOSED LOCATION...................................................................................vi
1.5 TYPE OF ORGANIZATION.............................................................................vi
2. ENTREPRENEUR PROFILE...................................................................................1
2.1 EDUCATIONAL QUALIFICATION.................................................................1
2.2 TECHNICAL SKILLS.........................................................................................1
2.3 WORK EXPERIENCE........................................................................................1
3. TYPE OF PRODUCT................................................................................................2
3.1 TYPE OF PROJECT............................................................................................2
3.2 PRODUCT /SERVICES DESCRIPTION...........................................................2
3.3 MAJOR CONSUMERS.......................................................................................4
3.4 MARKET POTENTIAL......................................................................................5
3.5 PRESENT DEMAND AND SUPPLY OF THE PRODUCT..............................6
3.6 COMPETITION...................................................................................................7
3.7 TARGET CLIENT/SELECTED MARKET AREA............................................8
3.8 MARKETING STRATEGY (USP).....................................................................9
4. MANUFACTURING PROCESS............................................................................12
4.1 TECHNICAL KNOW HOW AVAILABILITY................................................12
4.2 STEP BY STEP DESCRIPTION OF THE MANUFACTURING PROCESS
FROM RAW MATERIAL TO FINISHED GOODS TRANSESTERIFICATION?
..................................................................................................................................13
4.2.1 Transesterification.......................................................................................14
4.2.2 Individual Steps of Transesterification.......................................................14
4.2.3 Chemistry of Triglycerides..........................................................................15
4.2.4 Current Bio-diesel Production Method.......................................................16
5. PRODUCTION SCHEDULE..................................................................................20
5.1 NO OF WORKING DAYS PER ANNUM.......................................................20
5.2 NO OF WORKING SHIFTS (8HR) PER DAY................................................20
5.3 INSTALLED CAPACITY (ANNUAL)............................................................20
5.4 UTILISED CAPACITY (%)..............................................................................20
6. DETAILS OF THE PROPOSED PROJECT...........................................................22
6.1 LAND AND BUILDING...................................................................................22
6.2 MACHINES AND EQUIPMENTS...................................................................24
iii
6.3 MISC FIXED ASSETS......................................................................................25
6.4 PRELIMINARY AND PRE OPERATIVE EXPENSES...................................26
6.5 SALES AND REVENUE..................................................................................26
6.6 RAW MATERIAL(MONTHLY REQUIREMENT).........................................28
6.7 UTILITIES MONTHLY....................................................................................29
6.8 MAN POWER (SALARIES/WAGES)-MONTHLY........................................30
6.9 REPAIRS AND MAINTENANCE MONTHLY..............................................30
6.10 SELLING AND DISTRIBUTION EXPENSES-MONTHLY........................31
6.11 ADMINISTRATIVE EXPENSES-MONTHLY..............................................31
6.12 INTEREST-ANNUAL.....................................................................................31
6.13 DEPRECIATION.............................................................................................33
7. WORKING CAPITAL (ONE MONTH) / ONE CYCLE........................................34
8. TOTAL COST OF THE PROJECT.........................................................................35
9. MEANS OF FINANCE...........................................................................................36
10. PROFITABILITY PROJECTIONS.......................................................................37
11. BREAK EVEN POINT..........................................................................................37
12. CONCLUSION......................................................................................................38
13. REFERENCE.........................................................................................................39
iv
LIST OF FIGURES
Figure 1 .........................................................................................................................2
Figure 2 .........................................................................................................................3
Figure 3 .........................................................................................................................5
Figure 4 .........................................................................................................................8
Figure 5 .........................................................................................................................9
Figure 6........................................................................................................................11
Figure 7........................................................................................................................12
Figure 8 .......................................................................................................................13
Figure 9 .......................................................................................................................13
Figure 10 .....................................................................................................................15
Figure 11 .....................................................................................................................15
Figure 12 .....................................................................................................................16
Figure 13 .....................................................................................................................16
Figure 14 .....................................................................................................................17
Figure 15 .....................................................................................................................17
Figure 16 .....................................................................................................................18
Figure 17 .....................................................................................................................23
Figure 18 .....................................................................................................................23
Figure 19 .....................................................................................................................24
Figure 20......................................................................................................................25
Figure 21......................................................................................................................25
Figure 22......................................................................................................................26
.....................................................................................................................................26
Figure 23 .....................................................................................................................26
Figure 24 .....................................................................................................................26
Figure 25 .....................................................................................................................28
Figure 26 .....................................................................................................................28
Figure 27 .....................................................................................................................29
Figure 28 .....................................................................................................................37
v
1. GENERAL INFORMATION
Berhampur is the main production field for cheaper area for land and all facilities
Bhubaneswar, Cuttack, Kokatta, and Mumbai are the destination place up to where
diesel to be reached.
This company based on production and selling of the product in the market along with
selling of some by product Alternate fuels (bio-diesel) will replace liquid fuels
impacting Oil Cos.
vi
• Setting up network for alternate fuels is capital intensive
• Gas availability – marketing infrastructure e,g hydrogen gas.
• Prone to diversions due to fiscal subsidy
• Inadequate utilization of existing auto-LPG infrastructure because it tend to
exhaust now.
• Auto-industry to gear up for manufacture of custom-made vehicles
• Inadequate statutory intervention
• Customer education
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PRODUCTION OF BIODIESEL
2. ENTREPRENEUR PROFILE
Bachelor in any
Clerk subject Male/female 24-32
Should have idea about chemistry and candidates are suitable one when they should
did Masters in chemistry or bachelor in chemistry.
The driver should have 2 year experience of driving any kind of four wheeler vehicle
Candidate for manager posts are from technical background is more preferable.
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PRODUCTION OF BIODIESEL
3. TYPE OF PRODUCT
This project totally based upon manufacturing and production of bio-diesel and it
byproduct along with subsidiary product like green manure, medicinal plants
etc.Along with selling of that product in the market along with subsidiary product.
Figure 1
1. Bio-diesel
2. Common edible oil
3. Glycerin
4. Seed cakes
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PRODUCTION OF BIODIESEL
Figure 2
Many vegetable oils are used to make soaps, skin products, candles, perfumes and
other personal care and cosmetic products.
Some oils are particularly suitable as drying agents, and are used in making paints and
other wood treatment products. Dammar oil (a mixture of linseed oil and dammar
resin), for example, is used almost exclusively in treating the hulls of wooden boats.
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PRODUCTION OF BIODIESEL
Vegetable oils are increasingly being used in the electrical industry as insulators as
vegetable oils are non-toxic to the environment, biodegradable if spilled and have
high flash and fire points. However, vegetable oils have issues with chemical stability
(there has to be a tradeoff with biodegradability), so they are generally used in
systems where they are not exposed to oxygen and are more expensive than crude oil
distillate. Two examples are FR3 by Cooper Power and Biotemp by ABB. Midel 7131
by M & I materials is a synthetic tetra ester, like a vegetable oil but with four fatty
acid chains compared to the normal three found in a natural ester, and is manufactured
by an alcohol plus acid reaction. Tetra esters generally have high stability to oxidation
and have found use as engine lubricants.
Common vegetable oil has also been used experimentally as a cooling agent in PCs.
One limiting factor in industrial uses of vegetable oils is that all such oils eventually
chemically decompose turning rancid. Oils that are more stable, such as Ben oil or
mineral oil, are preferred for some industrial uses.
Vegetable-based oils, like castor oil, have been used as medicine and as lubricants for
a long time. Castor oil has numerous industrial uses, primarily due to the presence of
hydroxyl groups on the fatty acid chains. Castor oil, and other vegetable oils which
have been chemically modified to contain hydroxyl groups, are becoming
increasingly important in the production of polyurethane plastic for many
applications. These modified vegetable oils are known as natural oil polyols
1. Common people
2. Automobile industry
3. Sports organization
4. Different health agency
Bio-diesel is being used in school buses
– Clean School Bus USA – cost-shared grant program to help school districts
– eg,Jefferson and Littleton county schools
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PRODUCTION OF BIODIESEL
• U.S. Military
– The single largest user of bio-diesel in the country, consuming about 5
million gallons annually!
– Army, Navy, Air Force
Figure 3
Although there is no such market for bio-diesel but for other byproduct there is some
market value. But the word diesel itself is a kind of thing which can automatically can
create market because its demand never vanishes in the near future, because 50%
Indian transportation system about depends on that..
Good potential to replace 2-5% of our current diesel needs in the U.S. with bio-diesel
• People are requesting diesel cars specifically to use bio-diesel
• Gasoline prices may have reached a plateau, creating an opportunity for Bio-
diesel to edge its way into the market
“If all of the vegetable oil (23.6 billion lbs) and animal fat (11.6 billion lbs) were used
to Produce bio-diesel, we could only replace about 14% (approx 4.62 billion
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PRODUCTION OF BIODIESEL
gallons/yr) of Current demand for on-highway diesel.” (Dr. J Van Gerpen, University
of Idaho)
• Biomass oils could displace up to 10 billion gallons of petroleum by 2030.
Requires Incentives, mandates, R&D. (NREL)
• Washington State: 2%- 20 million gallons; 5%- 50 million gallons.
• Production potential: 4 yr rotation dry land wheat - 5 million gallons/100,000
acres.
Estimated production varies- 100 million gallon estimate
Now a day’s fuel is the one of the main source of energy which act as basic need of
transportation so, it’s need never perish and it’s demand is always there for mankind
and it never diminish. now a day’s the conventional fuel i.e. petrol and diesel come to
exhaust as it is nonrenewable source of energy and it take lot of time for it’s
production as in petroleum form in the mines ,so day by day fuel cost hikes ,to reduce
that cost and present day demand bio-diesel is one of the best alternative.
Present day no such big industry comes forward to produce biodiesel because it is
very costlier when it produced in small amount. And cost can be maintainable when it
produced in large amount and it even more beneficial in future.
Bio-diesel is biodegradable and non-toxic, and typically produces about 60% less net-
lifecycle carbon dioxide emissions, as it is itself produced from atmospheric carbon
dioxide via photosynthesis in plants. Its emissions of smog forming hydrocarbon are
65% less, although the Nitrogen Oxide emissions are about 10% greater than those
from petroleum-based diesel. Net-lifetime carbon dioxide emissions can actually
differ widely between fuels depending upon production methods of the source
vegetable oils and processing methods employed in their creation. It is therefore
debatable as to the extent that bio-diesel reduces total carbon dioxide emissions
currently contributing to anthropogenic global warming compared to those from
petroleum-based dieseles .so bio-diesel is on of the
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PRODUCTION OF BIODIESEL
Bio-diesel is biodegradable and non-toxic, and typically produces about 60% less net-
lifecycle carbon dioxide emissions, as it is itself produced from atmospheric carbon
dioxide via photosynthesis in plants. Its emissions of smog forming hydrocarbon are
65% less, although the Nitrogen Oxide emissions are about 10% greater than those
from petroleum-based diesel. Net-lifetime carbon dioxide emissions can actually
differ widely between fuels depending upon production methods of the source
vegetable oils and processing methods employed in their creation. It is therefore
debatable as to the extent that bio-diesel reduces total carbon dioxide emissions
currently contributing to anthropogenic global warming compared to those from
petroleum-based diesel.
3.6 COMPETITION
There are several competitors are there in the form of other alternative fuel generating
companies as they may use solar energy or might be hydrogen or alcohol energy. But
present day competitor are those companies produce diesel in conventional way or
those companies produce diesel as petroleum is their raw source component. A
comparison between bio-diesel(B!00 and B40) and normal diesel(B20)
Fig 3.6.1
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PRODUCTION OF BIODIESEL
Figure 4
In this figure it is found that what is the demand of oil in comparison to other kind of
fuels
1. Common people
2. Automobile industry
3. Sports organization
4. Different health organization
This type of product can easily attracted by environmentally conscious people,
And mainly health conscious people.
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PRODUCTION OF BIODIESEL
Figure 5
B20 blend is what most fleets use including the cities of Tacoma and Seattle. B100
used by some.
• B2-B5 blends are growing in use. Improves fuel lubricity in low sulfur fuels.
Used as entry point for renewable fuel or minimum content standards-
Washington’s renewable fuels mandate.
• B5-B20 blends growing demand for home heating oil.
• Marine applications
• Solvent, lubricant
Engine manufacturers warrant for parts and workmanship. They do not warrant their
engines for fuels, including petroleum diesel.
• The fuel supplier is responsible for fuel related problems. Consumer needs to
make sure product meets ASTM D6751
• Biodiesel does not void engine warranties.
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PRODUCTION OF BIODIESEL
The bio-diesel sector is not so developed in our country .we make a small survey on
America when it is established and how the market strategy there.
Bio-Diesel
– Blending normal diesel with Non-edible Oils (5%) extracted from plants like
“Jatropha” and “Karanjia”
– No engine modification required
– IOC R&D centre making pioneering efforts
– Mahindra & Mahindra and Ashok Leyland have endorsed bio-diesel as fuel for their
vehicles
– Product successfully piloted on Delhi-Amritsar Shatabdi Express
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PRODUCTION OF BIODIESEL
Figure 6
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PRODUCTION OF BIODIESEL
Figure 7
4. MANUFACTURING PROCESS
It can be developed artificially by some chemical reactions as some fats are their
reactants. Biodiesel refers to a diesel-equivalent processed fuel consisting of short
chain alkyl (methyl or ethyl) esters, made by transesterification of vegetable oils or
animal fats, which can be used (alone, or blended with conventional diesel fuel) in
unmodified diesel-engine vehicles.
Technical Definition:
Biodiesel a fuel composed of mono-alkyl esters of long chain fatty acids derived from
vegetable oils or animal fats, designated B100, and meeting the requirements of
ASTM (American Society for Testing& Materials) D 6751.
Biodiesel is distinguished from the straight vegetable oils (SVO) or waste vegetable
oils (WVO) used (alone, or blended) as fuels in some diesel vehicles.
• Alternative fuel for diesel engines.
• Made from vegetable oil or animal fat.
• Meets health effect testing (CAA).
• Lower emissions, High flash point (>300F), Safer.
• Biodegradable, Essentially non-toxic.
• Chemically, biodiesel molecules are mono-alkyl esters produced usually from
triglyceride esters.
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PRODUCTION OF BIODIESEL
Figure 8
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PRODUCTION OF BIODIESEL
4.2.1 Transesterification
While actually a multi-step process, the overall reaction looks like this
R1, R2, and R3 are fatty acid alkyl groups (could be different, or the same), and
depend on the type of oil. The fatty acids involved determine the final properties of
the biodiesel (cetane number, cold flow properties, etc.)
First step, triglyceride turned into triglycerides, methoxide (minus Na) joins freed FA
to make biodiesel, Na joins OH from water (from methoxide formation) to make
NaOH. Other H joins the diglyceride.
H O H
| | |
HCOR1 H HCO H O
| | | | |
HCOOR2 + HCONa +H2O ó CHOOR2 + HCOR1 + NaOH
| | | |
HCOR3 H HCOR3 H
| | | |
H O H O
Triglyceride + Methoxide + H2O ó Diglyceride + Biodiesel + NaOH
14
PRODUCTION OF BIODIESEL
Figure 10
Figure 11
15
PRODUCTION OF BIODIESEL
Figure 12
Figure 13
16
PRODUCTION OF BIODIESEL
Figure 14
Figure 15
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PRODUCTION OF BIODIESEL
Figure 16
WASTE OIL
As of 2000, the United States were producing in excess of 11 billion liters of waste
vegetable oil annually, mainly from industrial deep fryers in potato processing plants,
snack food factories and fast food restaurants.
Waste vegetable oil, sold as the commodity yellow grease has a market value of
approximately $1.09 per US gallon ($0.29/l or $335 per metric tonne), expected to
rise to $1.21 by 2013, enough to make collection economically viable.
Currently, the largest uses of waste vegetable oil in the U.S. are for animal feed, pet
food, and cosmetics. Since 2002, an increasing number of European Union countries
have prohibited the inclusion of waste vegetable oil from catering in animal feed.
Waste cooking oils from food manufacturing, however, as well as fresh or unused
cooking oil, continues to be used in animal feed.
World consumption
Oil source Notes
(million tons)
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PRODUCTION OF BIODIESEL
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PRODUCTION OF BIODIESEL
5. PRODUCTION SCHEDULE
20
PRODUCTION OF BIODIESEL
21
PRODUCTION OF BIODIESEL
22
PRODUCTION OF BIODIESEL
Figure 17
Figure 18
23
PRODUCTION OF BIODIESEL
Figure 19
24
PRODUCTION OF BIODIESEL
Figure 20
Figure 21
25
PRODUCTION OF BIODIESEL
Figure 22
Figure 23
Figure 24
26
PRODUCTION OF BIODIESEL
27
PRODUCTION OF BIODIESEL
Figure 25
Figure 26
28
PRODUCTION OF BIODIESEL
total
Figure 27
Total 2,13,200
3 Unskilled
Truck driver 10 4500 45000 540000
Helper 10 3000 30000 360000
Diesel injector 15 6000 90000 1080000
4 Office staff
Manager 5 20000 100000 1200000
Clerk 10 12000 120000 1440000
Peon 5 4000 20000 240000
total 1406000 16792,000
6.9 REPAIRS AND MAINTENANCE MONTHLY
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PRODUCTION OF BIODIESEL
6.12 INTEREST-ANNUAL
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PRODUCTION OF BIODIESEL
Utilities ; 2313200
Salary and wages: 16792,000
Repair and maintenance cost : 2124000
Selling and distribution cost : 6120000
Administrative expenses : 6000000
----------------------------------
Cost after one year other than
Investment cost : : 56509200
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PRODUCTION OF BIODIESEL
6.13 DEPRECIATION
33
PRODUCTION OF BIODIESEL
34
PRODUCTION OF BIODIESEL
35
PRODUCTION OF BIODIESEL
9. MEANS OF FINANCE
This is amount required at the beginning if the first month of this company
17,037,037/-
This amount could be collected from the company itself by internal rate of return
WHO(world health organization) and world bank etc.
36
PRODUCTION OF BIODIESEL
Figure 28
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PRODUCTION OF BIODIESEL
Future of bio-diesel
Bio-diesel use has at least doubled every year for the last 3 years
• Superb for smaller niches and local markets. Since replacing one major fuel
dependency with another is a bad idea, small scale energy production that is
more localized will be best anyway. This will create more jobs as well.
• Cannot rely on tax breaks and tax incentives to keep it going because it
requires large public support.
12. CONCLUSION
The demand of alternate fuels is increase the commercial aviation into twofold. First,
with respect to near-term concerns, alternate fuels will relieve the worldwide pressure
on crude oil derived (extracted from mines) fuels. This will help to stabilize price
fluctuations.
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PRODUCTION OF BIODIESEL
The long-term issue of using alternate fuel is to protect the environment and reserving
the non-renewable resources by maintaining a healthy environment.
13. REFERENCE
WEB SITES
1. www.wikipedia.orgwiki/bio-diesel
2. www.bio-diesel.com
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PRODUCTION OF BIODIESEL
3. http://apweb05.csm.vu.edu.au
4. www.mmcelroy@uiuc.edu
BOOKS
1. Bhattacharya SC and A.P Salam, 2002, Low Greenhouse Gas Biomass
Options for Cooking in the Developing Countries, Alternate fuel Biofuels and
Bioenergy,
2. Bhattacharya S.C., D.O Albina and A. M Khaing, 2002, Effects of Selected
Parameters on Performance and Emission of Biomass Fired Cook Stoves, alternate
fuel (Biomass and Bio-diesel),
3. Dixit B. C. S, 2003, Experimental and Computational Studies on Pulverized
Fuel Stoves, Ph.D. Thesis, Combustion Gasification Propulsion Laboratory, Indian
Institute of Science.
4. Dendukuri G and J.P Mittal, 1993, Some Field Experiences with Improved
Chulhas (Cookstoves) Introduced in Rural Households of Andhra Pradesh, India,
Energy Conver. Manage, 34, 6,457-464.
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